As a buyer how can I speed up a short sale

eddie102870 said:
id just buy a lot and build what i wanted. construction guys are hungry right now. you can call toolbox 9.5 he will hook you up.
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I tried, I can't afford the beer while he builds it:D :D :D :D :D
 
Short sales are getting smoother and faster to close, but it really depends on the bank. Bank of America has streamlined the process and use a web based system called Equator that allows agents to process the short sale by scanning and uploading documents (as bank driven tasks come due) rather than by faxing 80 to 100 page packages numerous times and hoping they all go through and someone admits they got them on the other end! :eek:

Other banks like Wells and GMAC have joined in on the Equator system for short sales and more are in the works. This is good news to me because it speeds up the process tremendously. The seller gives the listing agent - or the bank directly in some cases - the basic package used when purchasing a home. The servicing lender often times, if not always, must get investor and/or MI (mortgage insurance) approval before the short sale is approved and this is usually the part that takes the longest. The bank/servicing lender sometimes cannot move until the investor moves and the investor is unfortunately not on the buyer and sellers time frame :(

But on a better note - if the seller and listing agent work diligintley and get what the bank wants when they want it AND if the buyer doesn't get bored and find another house during the process chances are there will be a successfully completed short sale :) :) :)

Good luck to you :rock:
:elefant: :elefant: :elefant:

If the seller and listing agent or negotiating team presents a complete package and checks each banks short sale guidelines the process goes along in about 4 to 6 months in my experience and that is just an average - each one is it's own animal.
 
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The other thing to keep in mind in a short sale is the new loan. The new lender for the most part is pretty much on hold until they get short sale approval from the sellers bank which makes sense because they don't want to incur expense to the buyer for inspections and appraisals and all.

But often when the short is finally approved - the bank only allows 30 days (sometimes less) to close the deal or else so timing is key in meeting short sale deadlines and staying within lending guidelines for the new loan so it really helps to work with an experienced lender that understands distressed properties.


Also, most short sale banks WILL NOT take care of any repairs so it's a good idea to get a home inspection even if you pay cash so you know what you're buying. Lender required repairs usually show up because of something on the appraisal that is called out and can be expensive and a deal killer because most sellers of short sale properties are broke and the buyer has limited funds to come into the deal with - especially a first time home buyer. Investors are usually fairly savy and if not, they become that way quick!
 
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Wifey said:
The other thing to keep in mind in a short sale is the new loan. The new lender for the most part is pretty much on hold until they get short sale approval from the sellers bank which makes sense because they don't want to incur expense to the buyer for inspections and appraisals and all.

But often when the short is finally approved - the bank only allows 30 days (sometimes less) to close the deal or else so timing is key in meeting short sale deadlines and staying within lending guidelines for the new loan so it really helps to work with an experienced lender that understands distressed properties.


Also, most short sale banks WILL NOT take care of any repairs so it's a good idea to get a home inspection even if you pay cash so you know what you're buying. Lender required repairs usually show up because of something on the appraisal that is called out and can be expensive and a deal killer because most sellers of short sale properties are broke and the buyer has limited funds to come into the deal with - especially a first time home buyer. Investors are usually fairly savy and if not, they become that way quick!
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Great info!
I have found out that Bank of America is the only bank connected to the house. My realtor also said they have a new system that could speed things up. Thanks again for the info. I had a short sale "expert" tell me I could do no harm by calling the bank, talking with the forclosure dept. Basically he said to tell them I am pre approved, this is the house I want and I am putting 100K down. It may or may not help
 
Wifey said:
The other thing to keep in mind in a short sale is the new loan. The new lender for the most part is pretty much on hold until they get short sale approval from the sellers bank which makes sense because they don't want to incur expense to the buyer for inspections and appraisals and all.

But often when the short is finally approved - the bank only allows 30 days (sometimes less) to close the deal or else so timing is key in meeting short sale deadlines and staying within lending guidelines for the new loan so it really helps to work with an experienced lender that understands distressed properties.


Also, most short sale banks WILL NOT take care of any repairs so it's a good idea to get a home inspection even if you pay cash so you know what you're buying. Lender required repairs usually show up because of something on the appraisal that is called out and can be expensive and a deal killer because most sellers of short sale properties are broke and the buyer has limited funds to come into the deal with - especially a first time home buyer. Investors are usually fairly savy and if not, they become that way quick!
Click to expand...

Great info!
I have found out that Bank of America is the only bank connected to the house. My realtor also said they have a new system that could speed things up. Thanks again for the info. I had a short sale "expert" tell me I could do no harm by calling the bank, talking with the forclosure dept. Basically he said to tell them I am pre approved, this is the house I want and I am putting 100K down. It may or may not help
 
Still no news
All I know is that the house is now pending....I hate waiting especially when I am holding cash
 
Well
The home is being bundled by Bank of America to be sold to another bank. My realtor is trying to get me a lender that can close by the 29th and the home would be mine for 220K. If we cant close then I start the whole process over with a new bank.....this stinks
 
You may be right, my lender now says he could close on the first possibly but the lien holder is saying too bad we are selling it to the other bank the day before...LOL effin short sales
 
After all this time, we close this coming Wednesday. We wont move in before Christmas but at least we are finally getting it.:)
 
damn bro...i feel yer pain...(without the kids, tho...)

we put the offer on ours in the beginning of may, and didn't close til the end of september...which was 3 weeks before our wedding!

we need to catch up!!! you around today??
 
Congrats and finally. That took awhile. :congrats:
 
Demon 8 said:
After all this time, we close this coming Wednesday. We wont move in before Christmas but at least we are finally getting it.:)
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congrats :rock::rock::rock::rock::congrats::congrats::congrats::congrats:
 
I can only say you fall in love with the house when you are looking and we havent moved in and we are almost sick of it

We should have closed Oct 8 but the bank sold the home in a bundle to Bank of America and we started all over. If I can find time I will load some pics and link them up.
It should pay off though the house sold for 465K in the boom and we are getting it for 220K.
 
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